Sherman Hills owner agrees to pay city $17.5K

Mark moran / The Citizens' voice
Violations at the Sherman Hills Apartments initially resulted in a $33,000 fine. However, the city settled for less 'to mitigate the risk and uncertainty of the judicial process.'

WILKES-BARRE - The owner of the embattled Sherman Hills Apartments has agreed to pay a $17,500 fine to the city of Wilkes-Barre for failing to comply with rental inspection requirements, city officials said Wednesday.

The violations were documented between May and September last year and initially resulted in a $33,000 fine. The city settled for slightly more than half that amount "to mitigate the risk and uncertainty of the judicial process, especially a protracted appellate process," a city news release said.

City officials said the fine collected is still the largest amount on record for such a violation and "is an admission of guilt on the part of management for past failures."

In a statement released by Forty Fort attorney Andrew D. Bigda, Sherman Hills LLC said it accepted the settlement to "avoid the high costs and uncertainty of continued litigation."

"Sherman Hills has taken great efforts to improve its management systems in order to ensure ongoing compliance with the city's ordinances," the statement said.

The Citizens' Voice reported in September that Sherman Hills Realty failed to schedule inspections for 60 apartments it leased since the city last inspected the North Empire Court complex in May.

The city's rental ordinance requires rental properties be inspected every two years and each time a new tenant moves in.

After assessing Sherman Hills Realty with the $30,000 fine - $500 for each apartment - for the failure, the city was able to inspect the units. The city in turn billed the apartments' owners an additional $3,000 for the inspections.

It was not the first time Sherman Hills was found in violation of the ordinance. In November 2012, the city issued a violation to the complex after it found management ducked inspections for more than two years. The complex avoided a fine by scheduling inspections in that case.

Since being fined, Sherman Hills Realty LLC has complied with the city's rental inspection ordinance. City inspectors visit the location several times a month to inspect units before new tenants move in, the city said.

"I am pleased that Sherman Hills is now following the provisions of the rental ordinance," Mayor Tom Leighton said in the statement. "We will continue to exercise vigilant oversight of this facility in the months to come."

Sherman Hills came under fire in recent months following a series of high-profile crimes, including a homicide and a shooting that seriously injured two young girls.

The U.S. Department of Housing and Urban Development inspected the property in September, finding what it deemed "possible life-threatening security issues" due to management's neglect of the 344-unit facility.

After the HUD report was issued, lawmakers led by U.S. Rep. Matt Cartwright, D-Moosic, formed a task force aimed at bringing about change.

Faced with the prospect of losing Section 8 government funding, the Brooklyn, N.Y.-based owners vowed to create a gated community at the complex, install new fencing, hire armed security guards and repair broken security cameras.

Sherman Hills officials discussed the plans at a Wilkes-Barre City Council meeting late last year, saying they have set aside $100,000 for improvements that could be made in three months after getting city planning and zoning approval for construction.

Charles McCormick, the solicitor for Wilkes-Barre zoning and planning, said the planning commission is slated to review the proposed changes at a meeting Feb. 19.

If the commission votes to approve the changes, work could begin as soon as Sherman Hills management gets a fence permit, he said.

jhalpin@citizensvoice.com

570-821-2058, @cvjimhalpin

We welcome user discussion on our site, under the following guidelines:

To comment you must first create a profile and sign-in with a verified DISQUS account or social network ID. Sign up here.

Comments in violation of the rules will be denied, and repeat violators will be banned. Please help police the community by flagging offensive comments for our moderators to review. By posting a comment, you agree to our full terms and conditions. Click here to read terms and conditions.